Finding a debtor’s location

| May 8, 2021 | Firm News |

If you are attempting to collect a debt, it is pivotal to understand your rights and your responsibilities. Sometimes, people fail to approach debt collection from the right angle, which can lead to serious penalties. 

There are different issues to consider if you are trying to collect outstanding debts, such as obtaining information about a debtor’s whereabouts. However, you need to review relevant laws and ensure that you approach this matter correctly. 

Looking at the Fair Debt Collection Practices Act

If you are trying to collect debts, understanding where a debtor lives can help you work toward recovery. However, you need to go over laws related to acquiring this information. For example, review the Fair Debt Collection Practices Act. According to the Federal Trade Commission, if you contact another person to inquire about a debtor’s location, you have to abide by a number of regulations. 

While attempting to gain access to a debtor’s whereabouts, you must identify yourself and you cannot inform the other party that the person in question owes debt. You need to state that you are confirming the location of the individual who owes money and you cannot contact an individual about another person’s location repeatedly, unless they ask you to contact them again or you have reason to believe that the information they provided is incorrect. 

Other restrictions regarding inquiries about a debtor’s location

The Fair Debt Collection Practices Act also stipulates that you cannot contact other people about a debtor’s location via post card. Moreover, if you know that the debtor has an attorney, you must reach out to the attorney regarding these matters and not contact other parties (unless the attorney does not respond).